Iran says launches satellite rocket

TEHRAN (Reuters) - Iran test-fired a domestically made satellite-carrier rocket on Wednesday, Iranian media said, a move likely to worry Western powers who fear Tehran is seeking to build a nuclear bomb.

President Mahmoud Ahmadinejad, speaking at a ceremony to unveil three new satellites and other space technology achievements, said the Islamic Republic hoped to send astronauts into space soon.

"The field for breaking the global domineering system is the science and technology arena," he said, referring to Iran's foes.

Western nations fear Iran is seeking to build nuclear bombs and are concerned that the long-range ballistic technology used to put satellites into orbit can also be used to launch warheads. Iran says it has no plans to do so.

Iran, the world's fifth-largest oil exporter, says its nuclear programme is solely to generate electricity. Ahmadinejad said on Tuesday Iran was ready to send its enriched uranium abroad in exchange for nuclear fuel.

Ahmadinejad appeared for the first time to drop long- standing conditions Tehran had set, and the United States said if Iran was serious about a deal it should tell the U.N.'s International Atomic Energy Agency (IAEA).

The Iranian president made no mention of the nuclear row at Wednesday's aerospace event.

"Iran successfully launches home-built Kavoshgar-3 (Explorer-3) satellite rocket," English-language television station Press TV said.

The rocket would transfer electronic data and live footage back to earth, it said.

"SIGNIFICANT" THREAT

Press TV showed footage of a rocket blasting off from a launchpad in the desert, leaving a thick vapor trail. Other Iranian media said it was a test launch.

"This was a huge breakthrough...and we hope we can send our own astronauts into space soon," Ahmadinejad said.

He was speaking at a Tehran conference hall, where the new satellites and another satellite carrier, called Simorgh (Phoenix), were unveiled.

The event, which was broadcast live on state television, coincided with 10 days of national events marking the 31st anniversary of the 1979 Islamic revolution.

One year ago, Iran launched a domestically made satellite into orbit for the first time. It has said the launch of the Omid satellite was for peaceful telecommunications and research purposes.

In December, Iran said it test-fired a long-range, upgraded Sejil 2 missile. British Prime Minister Gordon Brown at the time said the launch was of serious concern to the international community and underlined the case for tougher sanctions.

On Monday, a Pentagon report said Iran had expanded its ballistic missile capabilities and posed a significant threat to U.S. and allied forces in the Middle East region.

To counter what Washington sees as the Iranian threat, the United States has expanded land- and sea-based missile defense systems in and around the Gulf, according to U.S. officials.

(Additional reporting by Hossein Jaseb and Fredrik Dahl; Writing by Fredrik Dahl; Editing by Angus MacSwan)